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Break-Even Analysis Pinnacle Party Inflatables, a supplier of inflatable bouncy houses, has budgeted the following amounts for its next fiscal year: Total fixed expenses $189,000
Break-Even Analysis
Pinnacle Party Inflatables, a supplier of inflatable bouncy houses, has budgeted the following amounts for its next fiscal year:
Total fixed expenses | $189,000 |
Selling price per unit | $250 |
Variable expenses per unit | $100 |
If Pinnacle Party Inflatables can reduce fixed expenses by $47,250, by how much can variable expenses per unit increase and still allow the company to maintain the original break-even sales in units?
Round answers to two decimal places, if applicable.
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